Major Currencies’ Midday Report 05/ August /2010

EURUSDThe pair is moving according to our morning suggested scenario nearing the initial key target at 1.3250; therefore, we maintain our morning expectations intact as long as stability is above 1.3110. The trading range for today is among the key support at 1.3025 and the key resistance at 1.3325.The short term trend is to the downside as far as 1.3770 remains intact with targets at 1.1700.

GBPUSDThe pair halted around 1.5815 and pushed to the upside towards the first awaited target at 1.5895; whereas momentum indicators are ascending and thereby we expect more bullish intraday movement. For the bullish trend to prevail it is vital the trading stabilizes above 1.5800.The trading range for today is among the key support at 1.5725 and the key resistance at 1.6070.The short term trend is to the downside as far as 1.6070 remains intact with targets at 1.3800.
USDJPYThe pair retested 86.35 and reversed to the downside; thereby the suggested morning scenario is activated and will prevail as long as stability is below 87.05.The trading range for today is among the key support at 84.00 and the key resistance at 87.05.The short term trend is to the downside as far as 91.55 remains intact with targets at 82.60.
USDCHFThe pair started the suggested bearish trend from 1.0540 nearing the sideways range at 1.0395. Chances of resuming the bearish intraday movement are expected, although it requires two major factors; first, a clear breach of 1.0395, second is stability below 1.0560.The trading range for today is among the key support at 1.0350 and the key resistance at 1.0670.The short term trend is to the upside as far as 1.0200 remains intact with targets at 1.2295.
USDCADThe pair continues its negative pressure as it nears the initial key target around 1.0100. Momentum indicators are giving off positive signs that might push the pair to retest 1.0200, and then activate the morning scenario. The expected direction for today is bearish over intraday basis as long as stability is below 1.0265.The trading range for today is among the key support at 1.0000 and the key resistance at 1.0265.The short term trend is to the upside as far as 0.9925 remains intact with targets at 1.1485.